Irdai extends feedback window for proposed insurance distribution reforms

The insurance regulator has received more than 650 comments on its proposals to revise expense limits and commission structures for insurers and distributors

The Insurance Regulatory and Development Authority of India (Irdai) has extended the deadline for submitting feedback on its consultation paper on distribution reforms to October 31, 2026, from October 25, 2026, the insurance regulator said in a press release on Saturday.

 

In September, Irdai released a consultation paper proposing an overhaul of insurance distribution and invited comments and suggestions from stakeholders. It has received over 650 comments so far. 

“In view of the significant interest and to facilitate wider participation, the last date for submission of comments has been extended till 31st October 2026, providing additional time to stakeholders and members of the public to submit their feedback and suggestions,” Irdai said.

 

 

The proposed reforms include lower expense of management (EoM) limits for insurers and product- and channel-specific caps on commissions. They also envisage separate limits for individual and corporate distributors, with higher caps for individuals to account for the greater effort involved in sales. 

The Insurance Brokers Association of India (IBAI) had previously said it had requested an extension of the deadline for submitting feedback until the end of December 2026.

 

At a recent event, Irdai Chairman Ajay Seth said the insurance regulator was engaging with insurers and distributors ahead of the October 25, 2026, deadline for submitting comments on the consultation paper. 

He said feedback differed across stakeholder groups and that they should explain the business and economic rationale behind their recommendations, including how the proposals would benefit policyholders. Irdai would carefully consider each suggestion, he added.